Apple’s iPhone exports from India to America are currently unaffected by President Donald Trump’s new 25% tariffs on the South Asian country. In April, the Trump administration excluded smartphones, computers, and other electronics from reciprocal tariffs, providing significant relief to companies like Apple and Nvidia Corp., as most of these devices are not manufactured in America. Sankalp Phartiyal for Bloomberg News:
Negotiations in India continue. President Trump has frequently used tariffs as a negotiating tool to pressure trading partners into making concessions. Based on history, the 25% tariff on India is quite likely intended to push the Indian government to reduce its own tariffs and trade barriers, which are among the highest in the world for certain goods, along with pushing India to reduce its economic and military ties with Russia, particularly in the context of Russia’s ongoing war in Ukraine. Trump has repeatedly criticized India for being one of Russia’s largest buyers of energy, alongside China, at a time when he and Western allies want Russia to face economic isolation due to its actions in Ukraine. India’s reliance on Russian crude oil has grown significantly, reportedly rising from less than 2% of its total imports before the Ukraine conflict to over 40% by June 2024. Trump’s moves, including threats of secondary tariffs of up to 100% on countries buying Russian oil, are clear messaged to India to curtail these purchases in order to weaken Russia’s economy and war effort, bringing about an end to hostilities in Ukraine. Trump has highlighted India’s long-standing practice of buying a “vast majority” of its military equipment from Russia. Trump wants India to shift its defense procurement away from Russia and toward U.S. or American-allied Western suppliers, aligning with broader U.S. strategic goals of countering Russian influence. President Trump has linked India’s trade with Russia to enabling “the killing in Ukraine,” suggesting he wants India to adopt a more overtly anti-Russia position, including supporting Western efforts to pressure Moscow into a ceasefire. India would be wise to reduce its trade barriers with the U.S. while also reducing its energy and military equipment purchases from Russia. Additionally, President Donald Trump just announced a 50% tariff on all imports from Brazil, effective August 1, 2025, as a response to Brazil’s treatment of former President Jair Bolsonaro and other concerns, such as alleged unfair trade practices. However, in April 2025, the Trump administration explicitly exempted smartphones, computers, and other electronics from reciprocal tariffs, providing relief to companies like Apple. Therefore, smartphones, including iPhones, are not subject to the 50% tariffs imposed on Brazilian imports at this time. Support MacDailyNews at no extra cost to you by using this link to shop at Amazon. [Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.] The post Apple’s iPhone exports from India dodge President Trump’s 25% tariffs for now appeared first on MacDailyNews. You're currently a free subscriber to MacDailyNews. For the full experience, upgrade your subscription. |
Thursday, July 31, 2025
Apple’s iPhone exports from India dodge President Trump’s 25% tariffs for now
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